Kansas ~ Personal Income, Sales and Use Taxes: Governor Expresses Tax Goals in State of the State Address; FY 2014 Budget Report Released

Gov. Sam Brownback set forth his goals for Kansas related to personal income taxes and sales and use taxes in his State of the State address delivered on January 15, 2013. The governor’s proposed tax plan includes reducing the state’s bottom rate of 3.0% to 2.5% in tax year 2014 and then to 1.9% in tax year 2016. Additionally, the governor recommends reducing the current top rate of 4.9% to 3.5% in tax year 2017, with a goal of eventually eliminating the state personal income tax. According to Gov. Brownback, his proposed “glide path to zero” would not cut funding for schools, higher education, or essential safety net programs. The governor also expressed his goal of keeping the state’s sales and use tax rate at its current level of 6.3%. Under current law, the state’s sales and use tax rate is scheduled to decrease to 5.7% on July 1, 2013.

 

The text of the governor’s State of the State address can be found online at http://governor.ks.gov/media-room/media-releases .

 

The FY 2014 Governor’s Budget Report indicates that Gov. Brownback also recommends abolishing the mortgage interest and real estate deductions. With regard to sales and use taxes, the report sets forth estimates of the State General Fund balances for FY 2014 and FY 2015 that assume the retention of the current 6.3% state sales and use tax rate. The FY 2014 Governor’s Budget Report can be found online at http://budget.ks.gov/gbr.htm .

 

A press release issued by Gov. Brownback’s office regarding his State of the State address is available at http://governor.ks.gov/media-room/media-releases/2013/01/16/governor-proposes-two-year-budget-that-cuts-taxes-provides-essential-services-and-meets-ending-balance-requirement .

 

State of the State Address , Kansas Gov. Sam Brownback, January 15, 2013; FY 2014 Governor’s Budget Report , Kansas Division of the Budget, January 16, 2013; Press Release , Kansas Office of the Governor, January 16, 2013

 

 

 

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